What is wrong with Indian labour law?

There is stringent hiring and firing process defined in Industry Disputes Act. It makes it mandatory for the organization to seek Government permission before removing an employee. Issue of apprenticeship: Another major weakness in current labour reforms is less focus on apprenticeship.

Why there is decline in trade unions in India?

The unionisation rate has fallen also because converting non-union jobs to union jobs has become increasingly difficult. The number and rate of creation of permanent jobs are also declining, further restricting the role of labour unions.

Why are trade unions criticized by the employers?

Over the years trade unions have been criticized as agents who, in pursuit of their own interests, (improving wages and working conditions, establishing more permanent employment), often oppose measures taken under labour market deregulation and liberalization policies which might undermine these objectives.

Why collective bargaining is not successful in India?

The reasons are: i. Weak unions Collective bargaining process mainly depends on the strength of unions. Indian unions are marked with multiplicity, inter and intra-union rivalry, weak financial position and non-recognition.

What is the drawback of the Indian labour unions?

“Multiplicity of trade unions, political rivalries, lack of resources, disunity in the ranks of workers etc., are some of the major weaknesses in a number of existing unions”.

How does trade union affect a business in India?

Trade Unions protect the worker from wages hike, provides job security through peaceful measures. Trade Unions also help in providing financial and non-financial aid to the workers during lock out or strike or in medical need.

What are the disadvantages of collective bargaining?

What Are the Disadvantages of Collective Bargaining?

• Collective bargaining comes at a cost.
• Collective bargaining may require a dues payment.
• Collective bargaining requires governance duties.
• Collective bargaining may require everyone to be bound by the contract.

What are the problems of collective bargaining?

Collective bargaining is affected by different factors, such as political decentralisation, as well as innovation in products and processes; however, these factors have led to some confusion among the social partners.